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VII.6. Approval of Amendment to the 2023-2027 Capital Improvement Plan; BishopKlingbeil CITY OF HOPKINS City Council Report 2023-052 To: Honorable Mayor and Council Members Mike Mornson, City Manager From: Nick Bishop, Finance Director Eric Klingbeil, City Engineer Date: May 16, 2023 Subject: Amend 2023-2027 Capital Improvement Plan _____________________________________________________________________ RECOMMENDED ACTION MOTION TO approve an amendment to the 2023-2027 Capital Improvement Plan increasing the cost of the Street Rehabilitation Improvements by $70,000. OVERVIEW The City Council approved the 2023-2027 Capital Improvement Plan (CIP) on September 6, 2022. The approved CIP included mill and overlay projects at an estimated cost of $425,000. Second Street North from 15th Ave to 17th Avenue has degraded since the adoption of the CIP, and residents in the area have approached staff and council with interest in having improvements made to the street segment. Staff has worked with Bolton and Menk, Inc. and Northwest Asphalt to investigate the feasibility of making improvements to the street. After reviewing the street and curb/gutter conditions, and with the absence of City owned utilities in the corridor it has been determined that a 2” mill and overlay on the street segment would be an appropriate course of action. A mill and overlay is expected to extend the life of the pavement in the are 15 to 25 years before additional rehabilitation is expected. Staff has worked with Northwest Asphalt on timing and pricing. The work could be added to the current contract as a change order not to exceed $70,000 and would be performed in conjunction with similar work in the project. Milling would occur in the week of May 22nd, with paving to follow shortly after. The City issued $7,335,000 General Obligation Temporary Bonds, Series 2023A on February 21, 2023. The bonds include $450,000 for the 2024 Street Rehabilitation Improvement project. These funds can be used for the increased cost in 2023. SUPPORTING INFORMATION Project Detail for 16-CIP-S041 (as amended) Project Location Map Finance Department Public Work Department CAPITAL IMPROVEMENT PLAN City of Hopkins, MN - CIP Contact Public Works Director 2023 2027thru Department Public Works: Streets/Traffic Description Location to be determined based on Pavement Management Program. Program includes mill and overlay of deteriorated pavements to extend the useful life of the street. Streets for this method of rehabilitation have usually been rehabilitated or reconstructed within the last 20 years. 2023: 11th Ave S, Lot 700 2024: 1st St S, South Central Business District Avenues 2025: Robbinwood Ln. Hwy 7 Service Drive, 5th St N 2026: Washington Ave N, Jackson Ave N, St Louis St 2027: 12th, 13th, 15th, 16th Ave S Project #16-CIP-S041 Priority n/a Justification Properly timed mill and overlay projects can significantly extend the life of a street and delay the need for reconstruction. Mill and overlay projects also require less disturbance and are shorter in duration than reconstruction, which results in less impact of the traveling public. Budget Impact/Other Increased 2023 amount by $70,000 from original 2023-2027 CIP. Amendment considered by City Council on May 16, 2023. Useful LifeProject Name Street Rehabilitation Improvements Category Trans: Streets Type Improvement Future Total Project Cost:$5,095,000 Total20232024202520262027Expenditures 2,470,000495,000 450,000 475,000 500,000 550,000Construction/Maintenance 495,000 450,000 475,000 500,000 550,000 2,470,000Total Total20232024202520262027Funding Sources 2,470,000495,000 450,000 475,000 500,000 550,000PI - PIR/General Obligation Bonds 495,000 450,000 475,000 500,000 550,000 2,470,000Total Thursday, May 11, 2023